Govt backs 2026 investment push

Thailand's government has reaffirmed its commitment to making 2026 the "Year of Investment," with Deputy Prime Minister and Finance Minister Ekniti Nitithanprapas outlining a broad strategy to mobilise hundreds of billions of baht in public and private investment to support long-term economic growth.

Speaking at the 29th anniversary of the National Press Council of Thailand, Mr Ekniti addressed concerns about the smaller share of capital expenditure in the upcoming 2027 fiscal budget, stating clearly that this does not reflect a reduction in overall national investment. Instead, the government plans to increasingly rely on off-budget financing, public-private partnerships, state enterprise investment and foreign direct investment to drive infrastructure development while easing the fiscal burden.

The government has announced plans to inject 270 billion baht in state enterprise investment into the economy, alongside expanded use of the Thailand Future Fund and PPP projects to finance major infrastructure schemes.

On foreign investment, Mr Ekniti, serving as chairman of the Board of Investment, set a target of attracting between 900 billion and one trillion baht in actual foreign direct investment through the Thailand FastPass scheme, which is designed to accelerate approved investment projects. Investors receiving Board of Investment incentives will be required to commit at least 20 percent of their planned investment this year.

The government is also promoting a Skill Bridge programme aimed at encouraging technology transfer and equipping Thai workers with skills needed for emerging industries.

Mr Ekniti also defended the government's 400-billion-baht borrowing decree, which is due to face a Constitutional Court ruling, describing it as essential for addressing immediate economic challenges and long-term structural reforms. The borrowing is intended to fund three priorities: easing the cost of living, accelerating Thailand's transition to clean energy, and investing in human capital. He noted that Thailand's heavy reliance on imported oil and natural gas makes the energy transition an urgent priority.

For expats, investors and business owners operating in Thailand, understanding the legal and regulatory frameworks around foreign investment, Board of Investment applications and public-private partnerships is an important part of making the most of these opportunities.

At SLF Legal in Koh Samui, we are here to help you navigate the legal landscape as Thailand continues to position itself as a leading destination for international investment. Feel free to reach out to our team with any questions.